New Delhi: EPFO has announced that if a subscriber dies within one year of service, a minimum life insurance benefit of Rs 50,000 will be provided.
In the EPFO meeting, which decided to provide 8.25 percent interest on PF savings for the current financial year as well, several other important decisions were taken.
In this meeting, which was attended by Union Minister of Labor and Welfare Mansukh Mandaviya, a decision was taken on the minimum life insurance amount.
Accordingly, if a person joins the job and dies before completing one year of becoming a PF subscriber, his family will be provided with a minimum life insurance of Rs. 50,000. Similarly, with almost 5,000 deaths per year, the insurance benefit will help the family.
Similarly, under the EDLI scheme, if there is a suspension in PF contribution, the insurance benefit will not be available.
This rule has been changed and even if the contribution is not paid for a maximum of six months, in the event of death, the family of the worker will be provided with life insurance. This is expected to benefit approximately 14,000 families annually.
Previously, even if there was a gap of a day or two when a worker changed companies, it was not considered a continuity of service and life insurance benefits were not available.
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